Eastern Cape youngsters thrown internship lifeline

Imagine the benefits to a small company from having graduate, matric — or simply keen — workers on its payroll for a year at no charge, with the added bonus of being able to employ them when the contract is complete.

The Eastern Cape Development Corporation (ECDC) and the National Financial Literacy Association (NFLA) on Friday signed a memorandum of agreement (MOA) which has set aside R20m through the Youth Employment Service (YES) to provide work opportunities for 350 unemployed youths from the Eastern Cape.

The NFLA, an implementing partner of the YES, will pay stipends to the youths of R4,000-plus a month for the duration of their 12-month contracts, while the ECDC’s contribution is a training programme for workplace readiness, financial literacy and customer service with a budget of half a million rand.

Of the 350 youngsters, 100 have been placed in companies in the Mthatha area and 250 in the East London region, with priority given to small and medium enterprises as host companies.

Such SMEs are highly likely to offer the youths a permanent spot after the year is complete, because they will have experience at the company and employers can pick the most enterprising, all at no cost. Salaries are then open to negotiation.

The youngsters have no obligation to accept the job, and are even encouraged to start their own business or look for openings at a different company.

“The ECDC’s bigger vision is to identify and partner with people and organisations which can help us mobilise funding for training, skills development and youth employment in the Eastern Cape,” ECDC chief executive Ayanda Wakaba said at the launch.

“We want to find work opportunities for young people. They are being prepared for the intricacies and dynamics of the workplace.

“This informs our focus on workplace readiness, financial literacy and customer service.”

NFLA chief executive Nosipo Nqabeni-Mtshali said the agreement was a  milestone for the two organisations.

“This MOA resulted in us recruiting and placing 350 youth from the Eastern Cape in small and medium businesses from different sectors of the economy.

“We are excited that part of it is ECDC paying for the financial literacy and work readiness training, for rollout in May.

“We want to do this training before they receive their first stipends at the end of May so that they are exposed to financial planning principles early on.

“After the 12-month employment period, they will be more employable and marketable, and some will choose to go the entrepreneurial route.”

Nomakhowa Yawa is on the management team of Dohne Agricultural Development Institute.

“We employ 140 people, among them highly qualified agricultural scientists who will assist in mentoring the youth.

“This programme will help solve the problem of young people ignoring the land and heading for the cities, especially in the Eastern Cape.”

Oyisa Gubevu, 22, from Mdantsane, is one of the lucky 350 young people in the programme. She graduated from Lovedale College in public management last year.

“I heard about the programme through social media and applied. This is a great opportunity for me to gain work experience and skills while earning.

“I was struggling to find a job so this is a timely intervention for me,” Gubevu said.

Joy Limani, 21, of Stutterheim, matriculated in 2022 so this is her first employment opportunity, too.

“I was planning to study in 2025, but this opportunity has come through. It means a lot to me because I will gain work experience, which will give me an idea of the career path I want to follow.

“It will also help to make a financial contribution at home,” Limani said.

Mtshali said the partnership moved the needle from a 20% youth absorption rate through employment contracts to an 80% absorption rate, leveraging off the ECDC’s existing youth entrepreneurship programmes.

“The ECDC as a partner provides more feasible and viable options for YES4Youth post the 12-month employment journey,” he added.

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